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Taxation that falls on more than one base, for example on the same source of income in more than one country. Taxation is normally levied on a person's worldwide income in the country of residence but, in addition, most countries also levy a charge on income that arises within that country whether it is from interest or a business. As a result a large number of treaties (double-taxation agreements) have been concluded between countries to ensure that their own residents are not doubly taxed. The agreements also attempt to cover fiscal evasion.

As a result there are several different kinds of relief from double taxation available: (1) relief by agreement, providing for exemption, in whole or in part, of certain categories of income;(2) credit agreement, in which tax charged in one country is allowed as a credit in the other;(3) deduction agreement, in which the overseas income is reduced by the foreign tax paid on it;(4) if there is no agreement the UK tax authorities will allow the foreign tax paid as a credit up to the amount of the corresponding UK liability.The UK has double-taxation agreements with 116 countries, which is more than any other jurisdiction. See unilateral relief.

(1) relief by agreement, providing for exemption, in whole or in part, of certain categories of income;

(2) credit agreement, in which tax charged in one country is allowed as a credit in the other;

(3) deduction agreement, in which the overseas income is reduced by the foreign tax paid on it;

(4) if there is no agreement the UK tax authorities will allow the foreign tax paid as a credit up to the amount of the corresponding UK liability.